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MPs urge government to speed up India-EU FTA, address other critical issues
MPs urge government to speed up India-EU FTA, address other critical issues
MPs urge government to speed up India-EU FTA, address other critical issues
While the government aims to finalise the agreement within the year,senior officials of the ministry of external affairsnoted that EU ratification is a longer process and is expected to reach the European Parliament by mid-2026.
Published on: Mar 02, 2026 7:40 AM IST By Sanjeev K Jha, NEW DELHI Share via Copy link Lawmakers across party lines pressed the government for an early conclusion to the India–European Union Free Trade Agreement (FTA) and to address critical bottlenecks in trade, technology cooperation, and student mobility during a high-level parliamentary consultative committee meeting on Saturday, people aware of the developments said on Sunday. The India–EU FTA trade deal is described as the “mother of all deals. (Bloomberg) During the meeting, chaired by external affairs minister S Jaishankar, members of Parliamentwere informed that negotiations for the India–EU FTA -- described as the “mother of all deals” -- are reportedly at an advanced stage. While the government aims to finalise the agreement within the year,senior officials of the ministry of external affairsnoted that EU ratification is a longer process and is expected to reach the European Parliament by mid-2026. They added that, once concluded, the trade-specific components of the agreement would be ratified at the EU level and would not require approval by individual member states. Prime Minister Narendra Modi and European Commission president Ursula von der Leyen on January 27 jointly announced the conclusion of the FTA at the 16th India-EU Summit in New Delhi. The two sides are now making endeavours to finalise the legal text and sign the deal by the end of 2026. At the meeting, MPs also raised significant concerns regarding the EU’s Carbon Border Adjustment Mechanism (CBAM), which came into effect this January, and its potential impact on Indian exports, particularly steel. Members also flagged apprehensions around import quotas and compliance costs that could hit Indian industry. “The committee was briefed on progress under the proposed India–EU Trade and Technology Council (TTC), focusing on artificial intelligence and semiconductors. MPs underlined that cooperation should go beyond memoranda of understanding and translate into tangible outcomes, including transfer of technical know-how and investments for setting up semiconductor fabrication units in India. Officials conveyed that the EU side had been receptive to the idea of leveraging India’s skilled IT workforce alongside European capital and technology,” said one of the MPs present at the meeting. Despite a new skill mobility agreement, lawmakers expressed dissatisfaction with current delays in issuing Schengen visas and restrictive student visa regimes in some European countries. Members cited specific instances in France and Poland, where Indian students faced travel restrictions and short-duration visas during multi-year programmes.They urged the government to replicate Germany’s structured ecosystem, which successfully integrates Indian professionals in health care and engineering, across the rest of the EU. Another MP said that the discussion also discussed the India-US trade relationship, with some questioning repeated public statements by US officials on India’s purchases of Russian oil. “Officials responded that India’s position is guided by the India–US joint statement, which does not reference Russian oil, and emphasised that New Delhi would continue to follow its own ‘judicious’ energy policy. Data was cited to show that India’s imports of Russian crude, which rose from about 4% three years ago to nearly 29%, are expected to decline,” said the MP. Agricultural concerns featured prominently as MPs called for a separate session with the agriculture minister to address farmers’ anxieties over falling prices for cotton and soybean. Officials maintained that agricultural imports under trade agreements were minimal, accounting for around 1%, but MPs argued that perceptions among farmers needed to be addressed more proactively. On geopolitics, the ministry officials reiterated India’s commitment to a “Global South” or South–South approach and the need to maintain strategic balance amid tensions in West Asia. The India–Middle East–Europe Economic Corridor was also discussed, with members noting slow progress since its announcement and officials indicating that momentum was now picking up. Officials added that the deliberations would feed into ongoing policy positions, even as MPs urged quicker resolution of trade, mobility and agricultural concerns. Some of the MPs present at the meeting included Manish Tewari, Jaya Bachchan, Aparajita Sarangi, Mukul Wasnik, and Sujit Kumar. ABOUT THE AUTHOR Sanjeev K Jha In his reporting career of over 20 years, Sanjeev K Jha has covered bureaucracy, politics, ISI activities in border areas, music and Bollywood. Presently, he covers crime in the national Capital. Check India news real-time updates, latest news from India, latest Tata Punch EV Launch at HindustanTime News / India News / MPs Urge Government To Speed Up India-EU FTA, Address Other Critical Issues See LessLawmakers across party lines pressed the government for an early conclusion to the India–European Union Free Trade Agreement (FTA) and to address critical bottlenecks in trade, technology cooperation, and student mobility during a high-level parliamentary consultative committee meeting on Saturday, people aware of the developments said on Sunday.
During the meeting, chaired by external affairs minister S Jaishankar, members of Parliamentwere informed that negotiations for the India–EU FTA -- described as the “mother of all deals” -- are reportedly at an advanced stage. While the government aims to finalise the agreement within the year,senior officials of the ministry of external affairsnoted that EU ratification is a longer process and is expected to reach the European Parliament by mid-2026. They added that, once concluded, the trade-specific components of the agreement would be ratified at the EU level and would not require approval by individual member states.
Prime Minister Narendra Modi and European Commission president Ursula von der Leyen on January 27 jointly announced the conclusion of the FTA at the 16th India-EU Summit in New Delhi. The two sides are now making endeavours to finalise the legal text and sign the deal by the end of 2026.
At the meeting, MPs also raised significant concerns regarding the EU’s Carbon Border Adjustment Mechanism (CBAM), which came into effect this January, and its potential impact on Indian exports, particularly steel. Members also flagged apprehensions around import quotas and compliance costs that could hit Indian industry.
“The committee was briefed on progress under the proposed India–EU Trade and Technology Council (TTC), focusing on artificial intelligence and semiconductors. MPs underlined that cooperation should go beyond memoranda of understanding and translate into tangible outcomes, including transfer of technical know-how and investments for setting up semiconductor fabrication units in India. Officials conveyed that the EU side had been receptive to the idea of leveraging India’s skilled IT workforce alongside European capital and technology,” said one of the MPs present at the meeting.
Despite a new skill mobility agreement, lawmakers expressed dissatisfaction with current delays in issuing Schengen visas and restrictive student visa regimes in some European countries.
Members cited specific instances in France and Poland, where Indian students faced travel restrictions and short-duration visas during multi-year programmes.They urged the government to replicate Germany’s structured ecosystem, which successfully integrates Indian professionals in health care and engineering, across the rest of the EU.
Another MP said that the discussion also discussed the India-US trade relationship, with some questioning repeated public statements by US officials on India’s purchases of Russian oil.
“Officials responded that India’s position is guided by the India–US joint statement, which does not reference Russian oil, and emphasised that New Delhi would continue to follow its own ‘judicious’ energy policy. Data was cited to show that India’s imports of Russian crude, which rose from about 4% three years ago to nearly 29%, are expected to decline,” said the MP.
Agricultural concerns featured prominently as MPs called for a separate session with the agriculture minister to address farmers’ anxieties over falling prices for cotton and soybean. Officials maintained that agricultural imports under trade agreements were minimal, accounting for around 1%, but MPs argued that perceptions among farmers needed to be addressed more proactively.
On geopolitics, the ministry officials reiterated India’s commitment to a “Global South” or South–South approach and the need to maintain strategic balance amid tensions in West Asia. The India–Middle East–Europe Economic Corridor was also discussed, with members noting slow progress since its announcement and officials indicating that momentum was now picking up. Officials added that the deliberations would feed into ongoing policy positions, even as MPs urged quicker resolution of trade, mobility and agricultural concerns.
Some of the MPs present at the meeting included Manish Tewari, Jaya Bachchan, Aparajita Sarangi, Mukul Wasnik, and Sujit Kumar.
Source: HindustanTimes
Related Posts: India–European Union Free Trade Agreement,trade technology cooperation,student mobility,Carbon Border Adjustment Mechanism,semiconductor fabrication units
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